Ann: Syerston - Scandium Updated Resource Estimate, page-2

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Scandium International Announces Significant Transactions: Equity Financing, Debt Conversion, Joint Venture Formation on Nyngan Scandium Project, and New Board Member
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HIGHLIGHTS:

• C$2.16M received from private placement, priced at C$0.10 per common share,
• Placement proceeds convert existing US$2.5M loan with lender into a 20% JV interest in the Company’s NSW scandium projects,
• Company now fully debt-free,
• Company immediately to launch a feasibility study on Nyngan Project, and
• Andrew C. Greig appointed as director, adds significant Australian expertise and a strong global background in resource project development

Feasibility Study
Scandium International intends to proceed immediately with a definitive feasibility study (DFS) and further supplemental property resource drilling and environmental work for the purpose of reaching a final investment decision on the Nyngan Scandium project in early 2016.   The Company also plans to apply for conversion of its exploration licenses on the property into mining licenses, in the same timeframe.

George Putnam, CEO of Scandium International Mining Corp. commented:
“The transactions announced today are significant as we now have the capital and a debt-free balance sheet to advance the Nyngan Scandium Project towards being the world’s first significant scale scandium-only producing project, creating value for all stakeholders, from existing shareholders to end users.   We will now immediately proceed with a feasibility study, apply our final designs to a scandium mine and on-site processing facility, and complete the necessary project development steps to seek construction financing next year.  We also intend to pursue additional offtake agreements which will further demonstrate the strong demand for scandium we see from end users in a number of areas and products.   The manufacturing sector has been waiting for a dependable scandium supply that is both scalable commercially, and located in a proven, stable mining jurisdiction, and we intend to meet that need